Budget 2012: Obama vs. House Republicans

Monday’s release of President Barack Obama’s new 2012 budget puts in sharp focus the week-long brawl that lies ahead in the House, as newly empowered Republicans seek to deal a crippling blow to the president’s agenda—abroad, at home and even making repairs at the White House.

Scores of amendments, seeking additional domestic spending cuts had been filed by Tuesday morning, but those focused on the White House so directly cross a line Congress typically avoids –and add to the personal nature of the fight.

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VIDEO: Obama unveils budget

POLITICO 44

Obama appears to have hurt his cause by not being more bold in approaching the debt problem facing the nation. At the same time, what began for Republicans as a budget-cutting exercise has grown into more of raw power play.

Just hours after the White House documents arrived, the House Rules Committee was scheduled to meet late Monday in anticipation of floor debate Tuesday on the GOP’s own government-wide spending plan for the last seven months of this fiscal year.

Never before has Washington seen two such complete budgets aligned at once — like two planets vying to eclipse one another. It’s two visions of government but also a certain blindness that could leave each stumbling into a government shutdown next month unless they get a better grip on reality.

The rough bottom line is Republicans would cut about $64 billion from domestic and foreign aid appropriations—an estimated 14 percent reduction in a matter of months that would severely damage Obama’s agenda, both at home and overseas.

Where the president is proposing to pare back the Environmental Protection Agency by $1.3 billion, the GOP would double the reduction to $2.7 billion. Obama cuts $350 million from Community Development Block Grants; Republicans cut more than six times as much.

Obama would save the Pell Grant program for low-income college students even it means reneging on past initiatives. Republicans would step back and let the maximum grant fall by 15 percent — a huge blow to students from the poorest families.

Even in areas where both parties have come together in the past, the differences are now measured in billions, not millions. Obama is proposing almost $7.8 billion for the National Science Foundation, for example; House Republican cuts would take the NSF back to about $6.5 billion. And the almost $10 billion gap in foreign aid and State Department funding represents a real retreat by the GOP from the activism of President George W. Bush, let alone Ronald Reagan.

“I think it’s short sighted,” said former Rep. Jim Kolbe (R-Ariz.), who oversaw the foreign aid budget for years. “I’m someone who believes it is absolutely vital to get control of our spending, but at a time when we are pulling back militarily, when China is active in Africa, this soft power is vital.”

Secretary of State Hillary Clinton stepped more directly into the fray Monday, meeting with Speaker John Boehner (R-Ohio) and appealed in a letter to House Appropriations Committee Chairman Hal Rogers (R-Ky.) to scale back the reductions.

“Cuts of this magnitude will be devastating to our national security,” Clinton wrote, yet the GOP has also included the National Nuclear Security Administration in its definition of “non-security” spending. Thus non-proliferation programs face reductions alongside those for water projects, and the GOP is backtracking on plans to update the U.S. nuclear stockpile—a major issue for Senate GOP Whip Jon Kyl (R-Ariz.) in the recent START treaty debate.

The House GOP has been hankering for this fight almost from the first hour the polls closed in November. The leadership has repeatedly promised that it wants to avoid a shutdown, but the tone has changed under pressure from tea party supporters.

Readers' Comments (662)

The GOP wants to cut without regard just for the sake of pleasing their base.

The UK did the same thing republicans are trying to do here in America, they cut all the way to the bone and their economy instead of growing SLOWED DOWN to a crawl.

On average the UK Lost .5% of GDP, thats a BOAT LOAD of money their economy actually contracted and it's projected to be even WORSE.

MEMO TO GOP

DEFICIT REDUCTION + TARGETED SPENDING INCREASES IS NOT AN OXYMORON IS HOW YOU GROW THE ECONOMY AND CREATE JOBS AT THE SAME TIME !

CUT CUT CUT = SHRINKING ECONOMY + JOB LOSES !

Fall In U.K. GDP Creates Problems For U.S. GOP 25 Jan 2011

Posted by Stan Collender

Since it was announced last October, the so-called austerity program launched in the U.K. has been repeatedly cited by Republicans as an example of what the United States could and should be doing. Spending cuts were the road to prosperity, they said, and all the U.S. had to do was emulate what the Conservative-Liberal Democrat government in the U.K. was doing.

That position took a drubbing today when GDP in the fourth quarter of 2010 in the UK was reportedto have fallen by 0.5 percent. That immediately set off political and economic alarm bells in the U.K. and raised big questions about the wisdom of an austerity program in the midst of a tepid economic recovery. Many were saying that another quarter of falling GDP and you would be able to stick a fork in the austerity program because it would be done.

The GOP wants to cut without regard just for the sake of pleasing their base

The GOP wants to cut spending because drastic cuts are required to lower the deficit and avoid the collapse of our financial system. Nearly everyone, even Obama, now understands this fact. What about this is difficult to understand?

The VERY SHORT TERM growth caused by Government spending is ONLY in GOVERNMENT JOBS that never go away.

This leads to EVER more SPENDING until BANKRUPTCY.

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The solution is CUTTING the GOVERNMENT spending, thus, there will be a short term slow down in GOVERMENT growth; ie NON PRODUCING JOBS, until market can recover from the intentional blows to PRIVATE SECTOR GROWTH; ie the people that actually CREATE WEALTH.

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But, in the LONG RUN the U.K. will be in a better position than their competitor's if they continue down the path of SOCIALISM and BANKRUPTCY!

The GOP wants to cut spending because drastic cuts are required to lower the deficit and avoid the collapse of our financial system. Nearly everyone, even Obama, now understands this fact. What about this is difficult to understand?

Obama not ONLY understands this concept; it is what OBAMA's POLICIES are meant to do!

Your heading is so silly - you do realize that Corzine - former Senator and Governor of New Jersey was head of Goldman - yeah - a Democrat. In fact - Goldman as a company gave far more to Obama and Democrats than republicans. You should change your name to - "Clearly I have no brain"

On topic - The cuts are not enough. Lets see the Dem's grow a pair and acknowledge that Medicaid, Medicare and SSL cannot continue to grow as they are. Catastrophic care yes - regular minor incidents you are on your own. If you go to the hospital and can't pay - hospital will deduct from your government payments until you have paid off your debt. Debtors prison is not a bad idea!

So where are the recommendations from the two Deficit Commissions created by Obama? Either he is ignoring their recommendations or he doesn't agree with his own commission? Oh, I forgot - he is officially now in campaign mode. Obama is all fluff, just words...

It just goes to prove that Liberals, of which Obama is one of, have no understanding whatsoever of what wealth, money, or value is created or consists of. Their budget proposals are akin to 'let them eat cake'. What's money but printed paper to them? Need more money? Just print it! These fools need to go away. Better yet, prosecute them.

It is time to end public worker retirement programs. Everyday Americans are only receiving 401K's IF they contribute money. Some employers will match, up to 6% of the salary. This is why so many people aren't retiring until at least 62 to 65, when Social Security and Medicare kick in. Louisiana teachers can retire after 20 years with FULL retirement AND benefits. This means they begin collecting full retirement at age 42! Along with their medical insurance. No wonder we are BROKE!

Takes his budget to a middle school, wow, you would think he would take it to a higher level say KINDERGARTEN or perhaps even PRE- SCHOOL or are these above his PAY-GRADE. Can 2012 get here soon enough to vote out this DUNCE and the rest of his DemocRAT MINIONS !!!!!!!!!!!!!

The GOP wants to cut spending because drastic cuts are required to lower the deficit and avoid the collapse of our financial system.

You have to be responsible when dealing with deficits, republicans are being irresponsible, we are in the middle of a very fragile economic recovery, their cuts if implemented would DECIMATE the American middle class.

If you want to Address the deficit then go after Military spending, you cant go after 12% of the budget and call it "responsible" you actually have to cut what you don't need.

Look at the expression on Jack Lew's face as Obama speaks. I guess he realizes what is going to happen. The left will attack Obama's budget from the left, and the Republicans will cut it some more. Politics is tough if you have no natural base of support, but rely on a golden tongue. Now his tongue is not so golden, as he tries to talk out of both sides of his mouth.